Gold records a weekly decline

Gold is heading towards recording a weekly decline today, after the decision of the Federal Reserve (the US central bank) that indicated slowing the pace of reducing interest rates during 2025, while the market’s focus turned to personal consumer spending data in the United States scheduled to be issued later today.

By 0628 GMT, gold in instant transactions rose 0.4% to $2,604.10 per ounce, but the precious metal lost about 1.6% over the course of the week.

US gold futures rose 0.4% to $2,617.60 an ounce.

Soni Kumari, commodity analyst at ANZ Bank, said that gold is witnessing stability as “investors await Trump’s return to office next year, and the Federal Reserve will hold one meeting after another, to study the development of the data and see what Trump’s trade policy will include.”

Investors are now awaiting core personal consumption expenditures data, the US central bank’s preferred measure of inflation, for more clues about the economic outlook in the United States.

The US Central Bank reduced interest rates by 25 basis points, and the bank’s signal about the expected slowdown in interest cuts pushed gold to the lowest level since November 18.

Yesterday, Thursday, data showed that the US economy grew at a faster pace than expected in the third quarter, while unemployment claims fell, which strengthened expectations that the central bank would follow a cautious approach in easing monetary policy.

High interest rates reduce the attractiveness of gold, which does not generate a return.

As for other precious metals, silver rose in spot transactions by 0.2% to $29.08 per ounce, but it is heading to record its worst weekly performance since July.

Platinum fell 0.3% to $920.80, and palladium rose 0.3% to $908.50. Both are heading for a weekly loss.